Greece will reduce its public debt by some 9 billion euros if the eurozone decides to extend the bilateral loans amounting to 52.9 billion euros to 50 years and reduce its interest rate by 0.50 percent, according to Germany’s prestigious Ifo Institute.

The institute’s economists, who had originally spoken in favor of ousting Greece from the eurozone and against issuing loans to Athens, now say that Germany would stand to lose about 2.5 billion euros from the profits it will reap if there is no Greek debt restructuring. The calculation is based on the net present value of the loans issued to Greece.

Last week Bloomberg reported that Greece’s eurozone peers are considering an extension on the maturity period of their bilateral loans to Athens from 30 to 50 years as well as shaving 50 basis points off the interest rate, bringing it level with the three-month Euribor rate.

Ifo economists say that Greece’s peers have already missed out on revenues of 8 billion euros from the gradual restructuring of the repayment terms for the 52.9 billion euros. Originally the loans would have been repaid in five years with an interest rate of Euribor plus 3 percent for the first three years and plus 4 percent for the other two years.